Release Explanation: CPI measures the average price of a fixed market basket of goods and services purchased by consumers, and therefore give an overall read of Inflationary pressures. It is the most widely used Inflation indicator of Central Banks, Institutions, and Governments. It is used to calculate Cost of Living numbers for Government programs. Each regional Central Bank will have their own CPI Target.
Trade Desk Thoughts: The Swiss CPI continued to decline in March. The released number of -0.3% is lower than the forecasted rate of 0.0%, while the year-over-year read fell to -0.4%. Inflation is set to continue its decline even more in the coming months, as the huge drop in energy prices and the lower demand should dampen price increases.
Forex Technical Reaction: The Swissy had a weak reaction to the CPI release. Since the trading day had started, the swissy rose 30 pips near the neutral pivot point (1.1370)